BERLIN – The United States and Europe broadly agree on the need for reform of the financial system, but global cooperation is needed, U.S. Treasury Secretary Timothy Geithner said Thursday. He also said countries are working together to balance cutting back deficits with supporting economic growth.

Geithner met German Finance Minister Wolfgang Schaeuble during a two-day visit to Europe that also took him to Britain and to the European Central Bank in Frankfurt.

The trip comes amid ongoing market volatility following European nations’ agreement this month on a euro 750 billion (nearly $1 trillion) loan backstop for governments in danger of defaulting on debt – coupled with efforts to cut budget deficits.

Germany, the eurozone’s biggest economy, pushed that deal through parliament last week. Geithner welcomed Berlin’s “leadership role” in putting together “this very strong framework,” as well as its speedy action to implement it.

He deflected worries that austerity measures could lead to an economic setback. He underlined the need to reduce debt “to sustainable levels over the medium term” and added that “we’re going to get there at somewhat different paces.”

“We are working very closely together to try to make sure that we are strengthening and reinforcing this global recovery,” he said.

Schaeuble noted that the rules governing the euro are titled the “stability and growth pact” and said countries would try to do justice to both elements.

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